Telecom's answer to ISPs is more talk

Telecom says it wants to speed up the delivery of new services to its competitors - by forming two industry working parties.

"The challenge is how to make real and fast progress in the absence of the final legislation in this transition period," Telecom chief executive Theresa Gattung wrote in a letter to internet service providers.

"To speed up the availability of the new services, we are proposing that two industry working parties be established.

"We see this as a way for the industry to meet together as peers and work together on finding solutions."

Gattung's letter follows the Government's announcement last month that it would force Telecom to open its phone and internet network to other competitors.

But those competitors yesterday said they were wary of the giant telco's plan.

CallPlus chief executive Martin Wylie said: "I'm stunned. We want some tangible evidence that Telecom will deliver on the Government's plans, this is just a PR stunt ... I would be appalled if people support this."

CallPlus has sought better wholesale broadband terms from Telecom.

Ihug chief executive Mark Rushworth said the move was a positive step but Telecom needed to be careful the proposal did not end up a "talk fest". "There would need to be very clear objectives and timeframes set down to achieve the Government's regulatory proposals quickly."

Gattung proposed the steering groups would develop technical guidelines and prepare operations for local loop unbundling, unbundled bitstream and naked digital subscriber line broadband services.

Telecom head of networks Mark Ratcliffe said it was the company's "best attempt at looking at what ISP wholesale customers are wanting".

"Rather than wait until hearing what the Government is going to do, we start to deal to this as an industry whole."

One working party would focus on the local loop, and the other on enhanced naked DSL.

Telecom will release information on the status of the network, capacity and technical details, Ratcliffe said.

Gattung said Telecom did not intend to run the working parties.

"If there is widespread support for this proposal then I propose that a kick-off meeting be convened as soon as possible," said Gattung.

Meanwhile, CallPlus and ihug expect Telecommunications Commissioner Douglas Webb to release a determination on Telecom's broadband access pricing this week.

Webb came out yesterday in support of Telecom's steering group plan.

"This has the potential to deliver improved broadband services more quickly, while recognising the regulatory regime is under development."

Telecommunications User Association chief executive Ernie Newman said Telecom would disclose information about the network through this forum.

"We assume Telecom will enter this in good faith," he said.